Patterson Belknap writes that individuals considering gifts of appreciated property to charity should be aware that not all property donations are treated equally for income tax purposes. Depending on the class of property, prior use, the donor’s holding period and type of donee, the charitable contribution deduction could be based on fair market value, the donor’s tax basis or another metric – or disallowed entirely. Donors contemplating major non-cash gifts should consult with their advisors early in the process.

via What Donors Need to Know About Appreciated Property | Patterson Belknap Webb & Tyler LLP – JDSupra.

Posted by Lewis J. Saret, Co-General Editor, Wealth Strategies Journal.